A Comprehensive Guide to Company Formation in UAE: Mainland and Free Zones
Introduction:
Welcome to SK Financial Services, your trusted partner in navigating the intricate landscape of company formation in the United Arab Emirates (UAE). Whether you are considering establishing your business in the mainland or exploring the benefits of free zones, we are here to guide you through every step of the process.
Company Formation in UAE
The process of Company Formation in UAE, involves only a few simple steps, in all seven emirates. You can apply by yourself at the Economic Development Department of any Emirates where you want to plan and set up your business. Additionally, digital platforms are available for obtaining trade licenses and setting up companies online where applying with necessary documents will result in a license within minutes. Investors can also apply through legal offices or designated companies offering business entity services. Setting up a company usually involves identifying a location, specifying the nature of the business and paying the prescribed fees for the issuance of a trade license.
Steps to Establish Your Company with inside the UAE Mainland
01. Identify Nature of Business Activity
The UAE offers 6 types of basic economic licenses for company formationRead More
02. Determine Your Company’s Legal Structure
A business structure is primarily based on the needs of the business and will determine the rules and regulations that the company must follow. Read More
03. Register the Trade Name
Trade name refers as the name of your company. It must be unique and not match any other registered company. You can apply to obtain the trade name via Economic Development department’s website.Read More
04. Apply for Initial Approval
An initial approval is the UAE Government’s ‘no objection’ towards a particular business being established in the country. Read More
05. Create MOA or LSA
Memorandum of Association (MOA) is required. If the legal form of the company is a limited liability company, public shareholding company, private shareholding company, or civil company. If it is a sole proprietorship then local service agent agreement (LSA) is required
06. Choose Your Business Location
All businesses working in UAE must have a physical address to operate. The company’s premises and location must comply with the zoning policies and regulations of the Emirates Economic Development Department as well as local municipalities or other competent authorities. In Dubai, a tenancy agreement for office or warehouse space must be registered through the Dubai Land Department’s tenancy portal.
07. Apply for Additional Government Approvals
Sometime, additional approvals are required from government agencies that regulate certain business activities.Read More
08. Submit Required Documents
- Initial approval receipt and copies of total previously submitted documents
- Copy of lease contract, duly attested
- Memorandum/s of Association, as required
- Approvals from other government entities, as required
09. Pay Fees and Collect License
Customers can collect business licenses from service centers of the economic department or from their website.
10. Register Your Company with the Chamber of Commerce and Industry
Registration of the company must be in the same emirate where it has been incorporated.Read More
Steps to Establish Your Company inside the UAE Free Zones
01. Determine Nature of Business Activity
In free zones, UAE offers various types of business licenses to entrepreneurs and investors based on the nature of business. Some of them are:Read More
02. Determine Your Company’s Legal Structure
The legal structure of a company depends on the nature and requirements of the business. It defines the regulations and laws that companies must follow. Read More
03. Register The Trade Name
Trade name means the name of your company. It must be unique and not similar to any other registered company. You can obtain the trade name from the respective Economic Development Department’s website or smart application.Read More
04. Select Business Space and Location
There are more than 40 free zones in the UAE. To set up a new business, select the place which matches the nature of business activity.Read More
05. Obtaining the Initial Approval
You must complete all requirements and submit necessary documents to obtain the initial approval to open a new company. Some other activities like health, travel and tourism will require some additional government approvals that must obtain from relevant authorities.Read More
06. Registration and Payment of Fees
- Pay fees and secure company license
- Fees include company license issuance fee, which depends on the type of license.
How To Apply for Company Formation in UAE
The Electronic Basher Platform
Basher - A unified platform that allows to set up company in 15 minutes. Local and federal government agencies related to licensing of economic activities in various emirates have been brought together in a unified platform to facilitate doing your business.
Through Economic Development Departments in the Emirates:
You can apply to establish company by visiting one of the following offices:
- Government service centers
- Tasheel offices
- On Time offices for government services
- Legal services offices
- Customer happiness centers affiliated to the departments of economic development in all emirates of the country
Time Taken to Establish Company in the UAE and Worldwide
10 Days
In high-income countries, according to the World Bank
4 Days
In the UAE through Economic Development Department
15 Minutes
Via the Basher online platform
Frequently Asked Questions (FAQs):
Q1: What are the advantages of company formation in a free zone?
Q2: How long does it take to establish a company in the UAE mainland?
Q3: Can I change my business location after the initial setup?
Conclusion:
Choosing between mainland and free zone company formation in the UAE depends on your business objectives and preferences. SK Financial Services is here to simplify this process, ensuring a seamless experience from inception to establishment.
Need more information and personalized assistance, Contact us today.
Feel Free to Contact Us
Mobile: +971 54 3304320
Email: Syed.faisal@sk.financial
Whatsapp: +971 54 3304320
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